David Cameron set the scene yesterday for battles with Tory traditionalists and Liberal Democrats by pledging to take bold action to build up Britain's infrastructure.

In a sign of No 10's anxiety over accusations that it has struggled to promote growth, the prime minister pledged to tackle a "failure of nerve" by holding a consultation on whether to build a Thames estuary airport and to reform "bureaucratic" planning laws.

The consultation on a "Boris Island" airport, which is a victory for Boris Johnson, the London mayor, raises the prospect of a general election clash between the Tories and Liberal Democrats in the south-east. The Lib Dems are standing by their general election manifesto pledge in which they said they would oppose "any expansion" of airports in the south-east.

The prime minister is allowed under the terms of the coalition agreement to hold the consultation because the Tories and Lib Dems agreed only to rule out expansion of existing airports. The Tories could go into the next election with a commitment to build a new airport, though sources stressed that the prime minister had an open mind.

In his speech, the prime minister cited the consultation as an example of his bold thinking on building up Britain's infrastructure. "We need to retain our status as a key global hub for air travel. Not just a feeder route to bigger airports elsewhere, in Frankfurt, Amsterdam or Dubai. Yes, this will be controversial. We will need to take decisions for the long term."

He also confirmed that he would publish a new national planning policy framework that would lead to the biggest simplification in 60 years of "bureaucratic, top-down planning laws". The National Trust and the Daily Telegraph have been running a campaign against the planning reforms on the grounds that they will undermine the green belt. Cameron said: "We must get our planning system fit for purpose. It needs to be quick. It needs to be easier to use. And it needs to better support growth, jobs and homes."

But Cameron insisted no tolls would be introduced on existing capacity. "This is not about mass tolling – and as I've said, we're not tolling existing roads," he said. "It's about getting more out of the money that motorists already pay."

He said the time had arrived to strengthen and rebuild Britain's infrastructure as he invoked the memory of Victorian pioneers. "We are falling behind our competitors," he said. "And falling behind the great, world-beating, pioneering tradition set by those who came before us. There is now an urgent need to repair the decades-long degradation of our national infrastructure and to build for the future with as much confidence and ambition as the Victorians once did.

"Our national heroes include men of iron and steam like Brunel, Stephenson and Telford – all commemorated in Westminster Abbey alongside former prime ministers and great authors like Charles Dickens. Our inheritance includes daring bridges and soaring stations – structures built with Victorian swagger and intended to last like Norman castles."

The prime minister promised to "blast through the vested interests and bureaucratic hurdles" as he said he would:

• Work with the private sector to replace Britain's nine nuclear power plants, which are due to come to the end of their lives between now and 2030. There will be no state subsidy.

• Ensure that 90% of properties have access to high-speed broadband by 2015. The remaining "hard-to-reach" properties will have at least "functional broadband" of two megabits per second. George Osborne, the chancellor, will announce 10 "superconnected cities" with access to 100Mb broadband.

• Auction the 4G network to ensure that it covers 99% of the population.

The prime minister said he was braced for protests. "I'm not dogmatic about this. There will be costs and protests. And I am certainly not doing it in the hope of immediate political advantage. I can see the furious objections – the banner headlines – already."But rather than give in we should ask instead: what is it that people want for the future? Reasonable things. A decent home. A clean environment. Jobs for their children. The ability to get around without hassle, huge costs or endless jams. And then we should take the necessary steps to make these things a reality, not leave future generations to deal with the consequences of our cowardice."